Indie label bosses on the future of the record industry and how it might affect the music we listen to.

Last week, two of the five major record labels, Sony and BMG, announced plans to merge. And it’s likely that EMI and Warner will follow suit, leaving three big majors, each responsible for about 25 per cent of the music we “consume”. The remaining quarter is produced by the independent sector. So how do the people in charge of indie labels see the future of their business, and how will it affect the music we listen to?

“I think we’ll mutate into a new type of company - a mixture of artist management, publisher, marketing consultant, agent and promoter,” reckons Steve Beckett of Warp Records. “We’ll be a company representing artists’ ‘careers’, in whatever way they want to be represented.”

Wall Of Sound’s Marc Jones agrees that with the advent of digital technology the days of the traditional label are numbered. “We’re a communications company and that’s what we’re becoming more and more everyday. I don’t think the model for a traditional record label will exist in this environment anymore. To survive as an independent label we’re going to have to change.”

On the positive side, though, most believe the independent sector is in a comparatively healthy condition compared to the majors. “The good thing about labels like ours is that they're used to running with low overheads so they’re better prepared for any downturn in the market,” says Michael McClatchy of Moshi Moshi Records. “Majors tend to carry a lot of unnecessary extra costs so that when they run into a bad patch they’re forced to shed staff and artists. Also, the independent market tends to be more durable than the mainstream because people are more passionate about their music buying.”

“The independent label scene in this country is in far better shape than it has been for years,” reckons Rob Cotter of Twisted Nerve. “Websites have proved invaluable to small labels because those who do go looking for new music can now find it while slacking off in the workplace.”

One common bugbear appears to be retailers. “A lot of the problem lies with the high street chains. The majority of stock is bought centrally without any thought for regional differences in tastes,” says Rob. Michael McClatchy concurs: “We need more local record shops with local character. Chains are like supermarkets - they only sell chart albums and they have music piped through from central office. It’s like something out of Nineteen Eighty-Four.”

So what about those proposed major label mergers? “They are in no one’s interest but their own,” says Ninja Tune’s Peter Quicke. “They will further reduce the ability of the music business to provide good music and endanger its ability to administer itself properly.”

However, while there’s a healthy independent market it’s not all doom and gloom. And as Marc Jones says, “There’ll always be great music, and bands will always need someone to work with. Why? Because they’re just not very good at those things.” Matt Walton 21 November 03

Next week, The Future Of The single.